12 Best Stocks That Pay Monthly Dividends in 2025

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3. AGNC Investment Corp. (NASDAQ:AGNC)

Number of Hedge Fund Holders: 24

AGNC Investment Corp. (NASDAQ:AGNC) is a Maryland-based real estate investment trust company that mainly invests in mortgage-backed securities, which function similarly to bonds. The company offers a compelling investment opportunity, though not without risks. Unlike traditional REITs that focus on owning and leasing properties, this mortgage REIT primarily invests in mortgage-backed securities, functioning similarly to a mutual fund. Its value is largely influenced by the performance of its mortgage securities portfolio. As of December 31, 2024, the company’s portfolio stood at $73.3 billion, comprising $65.5 billion in Agency MBS, $6.9 billion in net forward purchases and sales of Agency MBS in the “to-be-announced” (TBA) market, and $0.9 billion in credit risk transfer (CRT) and non-Agency securities, along with other mortgage-related investments.

Unlike REITs that generate income by owning and managing rental properties, AGNC Investment Corp. (NASDAQ:AGNC) invests in mortgage-backed securities, which are actively traded on a daily basis. The value of these investments is influenced by fluctuations in interest rates, as well as broader real estate market factors, including housing demand and loan repayment patterns.

AGNC Investment Corp. (NASDAQ:AGNC) has been making regular dividends to shareholders since its IPO in 2008 when it used to pay dividends on a quarterly basis. The company transitioned to a monthly dividend payment structure in 2014. Since going public through the fourth quarter of 2024, it has distributed a total of $14 billion in dividends to its shareholders. The company offers a monthly dividend of $0.12 per share and has a dividend yield of 13.95%, as of February 13.

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